BANKRUPT BANKER
HSBC Sued by Taiwanese Banks Over $500 Million Pang PEMGroup Fraud Losses - Bloomberg
Saturday, 16 October 2010
HSBC Sued by Taiwanese Banks Over $500 Million Pang PEMGroup Fraud Losses - Bloomberg: "HSBC Holdings Plc was sued by five Taiwanese banks, including Hua Nan Financial Holdings Co., which claim HSBC aided the fraud by deceased financier Danny Pang’s PEMGroup that caused them more than $500 million in damages.
The Taiwanese banks said in a complaint filed yesterday in state court in Los Angeles that HSBC Bank USA lied to investors about how long the bank had serviced PEMGroup’s investments and falsely represented that PEMGroup’s prior investment products had been performing in conformity with their offering memoranda.
Hua Nan Commercial Bank claimed $191 million in losses; Hua Nan Investment Trust, $48 million; Cosmos Bank Taiwan, $45 million; EnTie Commercial Bank, $50 million; Bank SinoPac, $122 million; and Taichung Commercial Bank, $70 million, according to the complaint."
